ACC 544 WEEK 6, Final Exam
ACC 544 Final Exam
1) Which is NOT one of the AICPA's Code of Professional Conduct principles?
A. The public interest
C. Quality control
D. Scope and nature of services
2) The ethical philosophy that considers the consequences of similar persons acting under similar circumstances is called
A. utilitarian principle.
B. imperative principle.
C. categorical imperative.
D. generalization argument.
3) The fundamental issues in independence require that the auditor avoid
A. financial connections with the client and financial connections with the client's competitors.
B. acting as management and representing the shareholder’s interests.
C. responsibility for the client's internal control and subordinating judgment concerning audit issues.
D. financial connections with the firm and acting as management.
4) Auditors have greater liability under the Securities Act of 1933. Which is the reason that this greater liability exists?
A. The auditor is liable for treble damages under the Securities Act of 1933.
B. The plaintiff does not have to prove that the financial statements were misstated.
C. The plaintiff does not have to prove that they relied on the financial statements.
D. The plaintiff does not have to prove that there were damages.
5) The legal doctrine that states that a successful plaintiff may recover the full amount of damages from any defendant that has the ability to pay is called
A) Joint and several liability.
B) Proportionate liability.
C) Complete liability.
D) Total liability.
6) The SEC regulation that governs disclosures in annual reports other than financial statements is the
A. Securities Act of 1933.
B. Securities Exchange Act of 1934.
C. Regulation S-X.
D. Regulation S-K.
7) Inspection of tangible assets...